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2015 DIGILAW 876 (KAR)

Nagarathnamma v. Central Bank of India

2015-08-06

A.S.BOPANNA

body2015
ORDER : The petitioner is before this Court assailing the notice dated 27-12-2014 issued by respondent 1 to the petitioner. 2. Respondent 2 had secured certain financial assistance from respondent 1-bank. Due to default, a notice under Section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 was issued to respondents 2 and 3. However, since the petitioners are in possession of the said property, the notice at Annexure-A has been issued to them. The petitioners claiming to be aggrieved were before the Debt Recovery Tribunal ('DRT' for short) by filing an appeal as provided under Section 17 of the SARFAESI Act. However, the DRT taking note of the decision of the Hon'ble Supreme Court has disposed of the appeal as having no jurisdiction. It is in that view, the petitioners are before this Court. 3. Prima facie, a perusal of the notice dated 27-12-2014 would indicate that the notice under Section 13(2) of the SARFAESI Act was issued to the borrower and the guarantor on 25-3-2010. Therefore, the rental agreements relied upon by the petitioner at Annexures-B and C being dated 8-7-2013 and 21-11-2013 were subsequent to the issue of notice under Section 13(2) of the Act. The said consideration no doubt has to be made in the light of the observations made by the Hon'ble Supreme Court in the case of Harshad Govardhan Sondagar v. International Assets Reconstruction Company Limited and Others, (2014)6 SCC 1 : 2014(184) Comp. Cas. 199 (SC). Hence, an opportunity is granted to the petitioners to take note of these facts and approach the first respondent to indicate to them as to whether the petitioners would take some time on their consent and vacate from the premises. 4. In that light, if the petitioner and the first respondent do not reach an understanding and if the first respondent finds the need to file a petition under Section 14 of the SARFAESI Act to secure physical possession, the first respondent shall also indicate the name of the petitioners as respondents to such petition and the learned Magistrate shall keep in view the decision of the Hon'ble Supreme Court cited supra and thereafter decide the matter with regard to the physical possession. Until the first respondent resolves with the petitioner in this manner, the possession shall stand protected. The petitions stand disposed of in the above terms.